Financial Data and Key Metrics Changes - Consolidated revenue for fiscal year 2024 grew by 6% to $1.89 billion, driven by a 61% increase in Grain revenue, particularly in barter operations [25] - Full year gross profit decreased by 19% to $268.4 million, with gross margin compressing by 430 basis points to 14.2% due to input price deflation and a less favorable product mix [26] - Adjusted EBITDA for the year was $53.4 million, reflecting a 64% decline year-over-year primarily due to gross margin compression and increased provisions for credit losses [26] - Net loss for the year was $154.6 million compared to a net loss of $43.7 million in the previous year [27] Business Line Data and Key Metrics Changes - In Brazil Ag Retail, revenue decreased by 2% to $192.5 million, with Inputs revenue declining by 16% due to strategic decisions to delay shipments [31] - Crop Care revenue surged by 87% to $19.9 million, but gross profit declined by 29% to $5.8 million due to product mix effects [33] - Latam Ag Retail revenue increased by 5% to $65.2 million, with gross profit rising by 10% to $10.4 million [32] Market Data and Key Metrics Changes - Inputs revenue in Brazil Ag Retail declined by 6% to $202.8 million, affected by lower Input sales and currency conversion [28] - Farmer profitability for crop year 2024/2025 is projected to improve, with increases in local grain prices and stable input prices [14] - Credit dispersed to farmers decreased by 30% year-over-year, reflecting liquidity issues stemming from previous droughts [17] Company Strategy and Development Direction - The company plans to optimize its retail network by consolidating stores to capture fixed cost savings while maintaining service levels [22] - For fiscal year 2025, the company expects consolidated revenues to range between R$8.6 billion and R$9.2 billion, with a focus on improving margins and operating efficiency [23] - The company aims to grow slightly above market rates despite a projected contraction of approximately 10% in Ag Retail Inputs markets [21] Management's Comments on Operating Environment and Future Outlook - Management noted that while there are short-term challenges, farmer demand for inputs is strong, and liquidity issues are expected to resolve with upcoming crop seasons [19][20] - The company anticipates that the market environment in Brazil is turning, with improved profitability for farmers and stabilized input prices [14][35] - Management expressed optimism about the mid-term outlook for farmers, despite current liquidity constraints [35] Other Important Information - The company reported a consolidated net debt-to-adjusted EBITDA ratio of 4.2, which drops to 3.4 when excluding payables related to acquisitions [34] - Adjusted net loss for the year was $144.9 million compared to an adjusted net profit of $30.9 million the previous year [27] Q&A Session Summary Question: Guidance for fiscal year cadence - Management indicated that the seasonality for fiscal year 2025 is expected to be similar to the previous year, with no significant changes anticipated in quarterly performance [39] Question: Channel inventories and competitor bankruptcy impact - Management noted that input prices are stabilizing and channel inventories are mostly normalized, with strong demand from farmers despite competitive pricing in some regions [40][41] Question: Operational cost savings and EBITDA impact - Management expects most EBITDA recovery to come from margin improvements, with additional benefits from optimizing the retail footprint [42] Question: Farmer profitability and behavior changes - Management observed that farmers are currently cautious in their buying decisions but are increasingly concerned about securing input availability, which is driving demand [45] Question: Timing of planting seasons and drought conditions - Management reported that soy planting in Brazil is slightly delayed compared to last year but is progressing faster due to recent rains [51] Question: M&A strategy in the current environment - Management indicated a focus on organic growth opportunities rather than M&A, although they remain open to interesting targets [52]

FY4Q24 Earnings Presentation Forward Looking Statements 2 The contents of any website mentioned or hyperlinked in this presentation are for informational purposes and the contents thereof are not part of or incorporated into this presentation. Certain statements made in this presentation release are "forward-looking statements" within the meaning of the "safe harbor" provisions of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by the use of w ...

Core Insights - Lavoro Limited reported FY2024 revenue of $1.89 billion, a 5% increase year-over-year, driven by market share gains and sales volume growth despite deflationary input price pressures [1][6] - The company experienced a net loss of $154.6 million for FY2024, significantly higher than the previous year's loss of $43.7 million, attributed to declining gross profit and increased finance costs [4][6] - Adjusted EBITDA for FY2024 was $53.4 million, down from $150.1 million in the prior year, reflecting lower gross profit and higher operating expenses [5][6] Financial Performance - FY2024 gross profit decreased by 19% to $268.4 million, with gross margins compressing by 430 basis points to 14.2% due to input price deflation and an unfavorable product mix [3][4] - In 4Q24, consolidated revenue increased by 2% year-over-year to $271.1 million, with Grains revenue growing by 41% to $68.3 million, while Inputs revenue declined by 6% to $202.8 million [8][13] - The Crop Care segment saw a revenue increase of 87% to $19.9 million in 4Q24, driven by strong performance in specialty fertilizers [27][29] Segment Analysis - Brazil Ag Retail segment revenue decreased by 2% to $192.5 million in 4Q24, with Inputs revenue declining by 16% to $124.8 million [17][21] - Latam Ag Retail segment revenue increased by 5% to $65.2 million, with gross profit rising by 10% to $10.4 million [23][24] - Crop Care segment gross profit declined by 29% to $5.8 million in 4Q24, with gross margins dropping to 28.9% from 75.9% in the prior year [28][29] Outlook - For FY2025, Lavoro expects Brazil's Ag inputs retail market to decline by approximately 10%, with projected consolidated revenue between R$8.60 billion and R$9.20 billion [31][32] - The company anticipates Adjusted EBITDA growth relative to FY2024, despite the challenging market conditions [31][32]

SÃO PAULO, Brazil, Oct. 22, 2024 (GLOBE NEWSWIRE) -- Lavoro Limited (Nasdaq: LVRO; LVROW), the first U.S.-listed agricultural inputs retailer in Latin America, will issue its financial results for the fiscal fourth quarter 2024, after market close, on Thursday, October 31, 2024. Lavoro management will host a conference call and audio webcast the following morning at 8:30 a.m. ET (9:30 a.m. BRT) to discuss the results. Conference Call Details Title: Lavoro Fiscal Fourth Quarter 2024 Earnings Conference Call ...

SÃO PAULO, Aug. 02, 2024 (GLOBE NEWSWIRE) -- Lavoro Limited (Nasdaq: LVRO), the first U.S.-listed pure-play agricultural inputs retailer in Latin America, today announced the establishment of a new R$310 million (approximately USD$55 million based on current exchange rates) credit facility with a three-year term, financed through a new Agribusiness Credit Rights Investment Fund (FIDC-Fiagro). The newly established Lavoro Agro Fundo de Investimentos nas Cadeias Produtivas Agroindustriais (FIDCFiagro), establ ...

SÃO PAULO, Aug. 02, 2024 (GLOBE NEWSWIRE) -- Lavoro Limited (Nasdaq: LVRO), the first U.S.-listed pure-play agricultural inputs retailer in Latin America, today announced the establishment of a new R$310 million (approximately USD$55 million based on current exchange rates) credit facility with a three-year term, financed through a new Agribusiness Credit Rights Investment Fund (FIDC-Fiagro). The newly established Lavoro Agro Fundo de Investimentos nas Cadeias Produtivas Agroindustriais (FIDCFiagro), establ ...

In a release issued under the same headline earlier this afternoon by Lavoro Limited (Nasdaq: LVRO, LVROW), please note that this version corrects various financial figures to align with the 6-K that was filed this afternoon. The corrected release follows: SÃO PAULO, June 03, 2024 (GLOBE NEWSWIRE) -- Lavoro Limited (Nasdaq: LVRO, LVROW), the first U.S. listed pure-play agricultural inputs retailer in Latin America, today announced its financial results for the fiscal third quarter of 2024, which ended on Ma ...

9 10 8 Reconciliation of Adjusted EBITDA and Adjusted Net Profit (Loss) | --- | --- | --- | --- | --- | --- | --- | --- | --- | |----------------------------------------------------------------|---------|----------------------------------|---------------------|----------------------------------------------|--------|--------|----------------------------------------------|-------------| | Consolidated Results | | (in millions of Brazilian reais) | Results in BRL \n | 3Q23 3Q24 9M23 9M24 3Q23 3Q24 9M23 9M24 | ...

Lavoro Limited (LVRO) came out with a quarterly loss of $0.52 per share versus the Zacks Consensus Estimate of $0.04. This compares to loss of $0.07 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of -1,400%. A quarter ago, it was expected that this company would post earnings of $0.12 per share when it actually produced earnings of $0.02, delivering a surprise of -83.33%. Over the last four quarters, the company has not been ab ...

3Q24 revenue grew 6% to $514.2 million. Growth was driven by continued market share gains and volume growth, which mitigated ongoing deflation in input prices throughout Brazil and Colombia. Gross profit decreased -16% to $60.2 million. Gross margins narrowed by -310 basis points to 11.7%, primarily due to the ongoing input price deflation and a less favorable sales mix resulting from a greater proportion of low margin Grain revenue. The Crop Care segment remained a strong performer, with revenue rising 30% ...